What are rare earths
Rare Earth Elements are a suite of 17 metallic elements used in many modern technologies including Electric Vehicle Motors, Permanent Magnets, Wind Turbine Generators and Smart Phones.
China accounts for 57% of the global mined production and 85% of refined production of Rare Earths Oxides 1 (Outlook for Selected Critical Minerals Australia 2021, Department of Industry, Science, Energy and Resources)
Governments have listed Rare Earths as critical minerals including Australia, US, EU, Canada and the UK for their strategic and economic importance the transition to renewable energy.
The rare earth market
Global governments have listed rare earths as critical minerals including Australia, USA, EU, Canada and the UK.
Rare Earths are used in 5 major sectors: permanent magnet materials, catalytic materials, luminescent materials, polishing materials, and hydrogen storage materials.
The Global Rare Earths Market is valued at US$2bn and is forecast to grow to $12bn by 2030.
Rare earth permanent magnets
Rare earth permanent magnets are the largest use of rare earths by value 1
Permanent magnets are made up of Neodymium (Nd) and Praseodymium (Pr), 2 Light Rare Earth Elements and Dysprosium (Dy) and Terbium (tb), 2 Heavy Rare Earth Elements.
Global demand for rare earth permanent magnets will increase at a compound annual growth rate of 8.6% from 2022 to 2035.
Electric Vehicles are expected to more than 60% of vehicles globally by 2030 and will drive market demand for Permanent Magnets. By 2050, the global forecast for EV sales is estimated to be 80m vehicles per annum.
1 (Outlook for Selected Critical Minerals Australia 2021, Department of Industry, Science, Energy and Resources)